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Why MNI
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of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
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Free AccessMNI: PBOC Net Injects CNY28.8 Bln via OMO Thursday
EUR Market Wrap
- 2y/10y bunds closed +1bp/+4bp to give a WoW move of -4bp/-3bp – DM team flagged focus on ECB commentary related to uncertainty around the growth outlook and the global IT outage. ECB review: https://roar-assets-auto.rbl.ms/files/65354/ECB%20....
- Main/XO were +0.5bp/+3bp at 54.4bp/297bp to give WoW moves of +3bp/+14bp while €IG/€HY was -0.3bp/-3bp for a WoW move of +1.3bp/+4bp. +10yr IG spreads underperformed the short-end by close to 1.5bp on the week (and by 16bp YTD) while Transport was the only sector tighter WoW while Comms, Tech and Utils all widened by over 2bp.
- SXXP was -0.8% with all sectors in the red while SPX was -0.7% to give WoW moves of -2.7% and -2% with Banks, Personal Care and Telcos eeking out marginal WoW gains in SXXP while Tech (-9%) and Basic Resources (-7%) underperformed. Notable €IG WoW movers included VF Corp +19%, Warner Bros +17%, Lanxess +10% Roche +9%, Telia +8%, Scor SE -21%, ASML -17%, Kojamo -12%, Sartorius -11%, Autoliv -11%, Dell -10%, Forvia -10%, Eli Lilly -10%.
- SX5E futures are +0.5% while SPX futures are +0.2% - Early sentiment was dominated by news of Biden dropping out of the US Presidential election race. He endorsed VP Kamala Harris as his replacement. The UST curve has flattened, reversing some of the curve steepening that has occurred as a part of the "Trump Trade", although it should be noted that betting markets have not really swung back in favour of the Democrats.
- There are few events today with only the US Chicago Fed June index and May German retail sales the main releases.
GMT/Local | Impact | Country | Event |
1530/1130 | * | US | US Treasury Auction Result for 26 Week Bill |
1530/1130 | * | US | US Treasury Auction Result for 13 Week Bill |
0700/0900 | EU | ECB's Lane at ECB/IMF conference in Frankfurt | |
0900/1000 | * | UK | Index Linked Gilt Outright Auction Result |
1100/0700 | *** | TR | Turkey Benchmark Rate |
1230/0830 | ** | US | Philadelphia Fed Nonmanufacturing Index |
1255/0855 | ** | US | Redbook Retail Sales Index |
1400/1600 | ** | EU | Consumer Confidence Indicator (p) |
1400/1000 | *** | US | NAR existing home sales |
1400/1000 | ** | US | Richmond Fed Survey |
1530/1130 | * | US | US Treasury Auction Result for Cash Management Bill |
1700/1300 | * | US | US Treasury Auction Result for 2 Year Note |
2300/0900 | *** | AU | Judo Bank Flash Australia PMI |
To read the full story
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.